Hike rates

DHL will increase its prices for the fourth consecutive year

MARKET VOLATILITY:
The 4.9% rate hike stems from unpredictable exchange rates and inflation, as the company raises prices in other countries by that much or more.

  • By Kao Shih-ching / Staff Reporter

DHL Express Taiwan Corp (洋基通運) plans to raise average freight rates by 4.9% next year due to inflation, exchange rate volatility and administrative costs, price adjustment effective Jan. 1, the company said in a statement. yesterday.

The local subsidiary of Deutsche Post DHL Group, one of the world’s leading courier and logistics services groups, has increased its freight rates by 4.9% every year since 2018, according to company data.

The price adjustment was proposed by the local unit, although approved by the parent company, DHL Express Taiwan said by phone.

Price adjustments vary from country to country as different units make separate decisions, he added.

The price increase in Taiwan matches that of DHL Express New Zealand and the Pacific Islands, but lower than the 6.9% approved by DHL Express India next year, the DHL Express website and overseas reports showed.

DHL Express Taiwan, which focuses on air parcel shipping, said yesterday that its decision to raise prices was not a result of rising air freight rates in recent months, but was based on the inflation, currency volatility and regulatory and security costs.

The price increase must apply to all customers whose contracts allow for the adjustment, he said.

Higher prices would allow the company to invest in infrastructure networks, strengthen its ability to fight crises and expand its freight capacity according to demand, it said in a statement. communicated.

“We strive to provide excellent service to our customers and will invest regularly to improve our services. We will also ensure that our customers’ business can continue to grow even in times of global crisis,” DHL Express Taiwan General Manager Yung C. Ooi (黃湧君) said in a statement.

Meanwhile, Yang Ming Marine Transport Corp (陽明海運), the country’s second-largest container shipper by fleet size, said on Monday it will increase capacity for the Middle East market next month by operating a additional vessel, in order to meet growing demand.

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